Direct Access Trading Systems
At one time or another we have all experienced the frustration of attempting to contact our broker during extremely volatile markets. You have just seen the price of a stock you own move up [or down] drastically and you want out. Often by the time you finally reach your broker the stock has traded away [...]
Seasonal Market Influences
There are many times when movement in the market appears confusing and unusual. In particular, I have always been amazed by “Seasonal Market” influences and have certainly pondered their credibility..
Believers in seasonal influences state that stock markets tend to have strong returns around the beginning of the year as well as during the summer months. [...]
Contrarian Trading
A large number of TV, radio and print gurus are infamous for taking an emotional stance on markets. At any one moment they scream that the market (or sector, stock, commodity) is “flying high”. Often, within days they morosely report that the market “has no bottom”. The print media is notorious for recognizing an intermediate [...]
The Buy and Hold Strategy
The buy and hold strategy has been touted for decades as being prudent and profitable. However, with the advent of program trading, derivatives, huge institutions, day traders, hedge fund trading and a world wide explosion of trading participants, market volatility has exploded. How long is a “buy and hold” strategy supposed to take? 5 [...]
Short Selling
Most traders buy stocks believing the price will rise, at which time they will sell and take a profit. This is called taking a long position and is a relatively simple transaction.
However, taking a “short position” or “shorting” a stock is a little more complicated. A short sale is your bet that the price of [...]
5 Star Trading Tips
To identify bull and bear markets I suggest you follow weekly and monthly charts because they set out the longer-term trends in the major stock indexes. An old market saying is still relevant: “The trend is your friend”.
Worth noting: Usually the duration of the average bull phase is about 28 months and [...]
Technical Analysis
Many investors purchase stocks based on their research of a company’s fundamentals, friends offering stock tips or from media hype. However, much of the company’s information available to us via press releases may well be months old. And we often forget to read the warning following Press Releases which reads: ” Neither the TSX, nor [...]
